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International Differences in the Agricultural Price Level: Factor Endowments, Transportation Costs, and the Political Economy of Agricultural Protection

Christopher Clague and Arna Desser
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Christopher Clague: University of Maryland
Arna Desser: Mount Holyoke College

Eastern Economic Journal, 1998, vol. 24, issue 3, 281-292

Abstract: This paper presents a model of the agricultural producer price level as a function of a country's structure of agricultural trade and its protection of agriculture. In turn, the structure of a country's agricultural trade is a function of its resource endowment and its level of agricultural protection. The level of agricultural protection is a function of the political strength of farmers and of the structure of its agricultural trade. These relationships are estimated in a simultaneous equation framework.

Keywords: Agricultural Trade; Agriculture; Prices; Protection; Trade (search for similar items in EconPapers)
JEL-codes: F11 Q11 Q17 (search for similar items in EconPapers)
Date: 1998
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Eastern Economic Journal is currently edited by Cynthia A. Bansak, St. Lawrence University and Allan A. Zebedee, Clarkson University

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